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Showing posts from May, 2014

A bit on personal loans

In these times of high prices and low salaries, a lot of people get into financial difficulties when they end up with a lot of credit card debt to maintain their lifestyle. Anyway, no judgement - mistakes happen, I've been there too. The thing is how to get out of it. This is where I think personal loans are not too bad. Well, they are expensive if you take a long tenure but if you know how to use them wisely, they can be very useful. As a banker, these are the tips on how to maximise on your personal loan: 1. Have a clear objective: Such as to clear off your card debt AND that you are going to stop using that card! The lower monthly monthly repayment is meant to relieve your monthly budget and create a set timeline to pay off that amount. 2. Be disciplined: Per no 1, don't run up another debt on another card for goodness sake. 3. Sign up for the lowest TENURE, not the lowest rate: The shorter tenures have the cheapest rates anyway. If you try shopping around